Iran hopes to start implementing an ‘oil-for-goods’ barter deal with Russia after June 7, said Iranian Oil Minister Bijan Namdar Zanganeh. It will supply Iranian crude oil to Russia in exchange for grain, equipment and construction materials.

“We hope that next week” Russia will take its first
imports, said Zanganeh, quoted by Bloomberg on Friday after attending
an OPEC meeting. “Much of this will be for cash and we will
be using this money to buy commodities from the Russians.”

Zanganeh said Russia may also participate in other projects with
Iran in exchange for oil. He confirmed discussing the deal with
Russian Energy Minister Aleksandr Novak on June 3 in Vienna.

Russia plans to buy “much lower than 500,000 barrels
day” in exchange for cash, which Iran will then spend on
Russian goods such as steel, wheat and oil byproducts, he said,
adding that Kazakhstan and Belarus will be able to buy Iranian
oil from Russia under the agreement, as they are part of the
Eurasian Customs Union.

Earlier in April, the Russian president’s spokesperson, Dmitry
Peskov, confirmed that organizing the operation of the
‘oil-for-goods’ barter deal was already underway. Deputy Foreign
Minister Sergey Ryabkov said subsequently that the agreement was
in no way connected with the current sanctions regime against
Iran.

At the end of May, Aleksey Alekseenko, assistant director of
Rosselkhoznadzor, Russia’s agricultural watchdog, said that
Russia and Iran could implement the barter deal according to a
"grain in exchange for meat, fish and cheese" scheme.